The Liontown Resources Ltd (ASX: LTR) share price soared to a record high in May before handing back its gains.
After finishing April trading for $2.74, stock in the company behind the Kathleen Valley lithium project rocketed to a peak of $3.02 on 12 May. But the record high wasn't to last.
The Liontown share price closed last month back at $2.76 – just 0.73% higher than it was 31 days prior.
In the meantime, the broader S&P/ASX 200 Index (ASX: XJO) fell 3% over the course of last month.
So, what drove shares in the lithium favourite to pop then drop in May? Let's take a look.
What happened to the ASX 200 lithium favourite in May?
This year has been a wild ride for those invested in Liontown shares.
The company was the subject of a $2.50 per share takeover bid from New York-listed lithium giant Albemarle Corporation (NYSE: ALB) in March.
While the bid was quickly rejected, it saw the market send the Liontown share price 68% higher in a single session – a gain it hasn't yet lost.
And more takeover talk surrounded the ASX 200 stock last month.
Reports a second suitor was scoping it out emerged in early May, with a bid of around $2.75 per share rumoured to be in the works.
But investors' excitement was short-lived. The company dismissed the reports, saying Albemarle's was the last offer presented to it.
That was the last time the market heard price-sensitive news from the company.
Though, it also released an investor presentation and announced it's awarded the full mining services contract for Kathleen Valley's Corner and Mt Mann open pits.
Iron Mine Contracting was the lucky company signing the contract. The contract is valued at around $240 million over its three-year term.
Liontown share price snapshot
This year has been a ripper one for the Liontown share price.
The stock has more than doubled since the start of 2023, rising 123% in that time. It's also 126% higher than it was this time last year.
Meanwhile, the ASX 200 has gained 3% year to date and 1% over the last 12 months.
